Europe Unveils Preliminary Sanctions Against Russia

Tyler Durden's picture

While the preliminary terms of Europe's Russian sanctions were leaked yesterday, moments ago it was reported that EU ambassadors have reached an agreement on what the "hard-hitting" economic sanctions against Russia would look like even as details remain to still be ironed out ahead of a formal announcement of the final terms next week. According to Reuters, key measures suggested by the Commission include:

  • closing EU capital markets to state-owned Russian banks,
  • an embargo on arms sales to Moscow,
  • restrictions on the supply of energy and dual-use technologies.
  • a list of 15 individuals and 18 entities, including companies, subject to asset freezes for their role in supporting Russia's annexation of Crimea and detribalization of eastern Ukraine.

Of course, since France would blow a gasket if its Mistral ship was impacted by the sanctions, and since this really is just another populist measure not intended to really punish Russia (as that would mean a prompt shut off of European gas and an even prompter slide into a triple dip recession if not outright depression), Europe promptly "detoothed" the sanctions by announcing that they would not affect current supplies of oil, gas and other commodities from Russia, diplomats said.

As the map below shows, there is a dispersion of European opinions over Russian sanctions.

More from Reuters, whose details reveal that despite the attempt to show a unified stance, things in Europe are still very much split up between the various countries as any response by Russia would be proportional and impact some more than others:

Maja Kocijancic, spokeswoman for EU foreign policy chief Catherine Ashton, said there was still work to be done. "The direction of travel here is very clear but we are still travelling," she told reporters.

 

It was not immediately clear if the legal text would include all the options identified by the Commission. But EU officials said it would cover all four areas where sanctions have been proposed - restrictions on Russian access to European financial markets, defence and energy technology and equipment useful for both defence or civilian purposes.

 

Separately, the EU was due to publish later on Friday the names of 15 individuals and 18 entities, including companies, subject to asset freezes for their role in supporting Russia's annexation of Crimea and detribalization of eastern Ukraine.

 

Member states will scrutinise the draft legal text over the weekend and give their feedback to the Commission on Monday, one diplomat said. A revised draft may be adopted on Tuesday, he said.

 

Remaining stumbling blocks were over issues such as existing contracts as well as on a so-called "off-ramp" - how to scale back sanctions if Russia began to play a more constructive role in de-escalating the situation in Ukraine, the diplomat said.

What does the EU want? Merely for Russia to stop doing what the CIA has been doing since February (as confirmed by Victoria Nuland) - to stop intervening in a proxy conflict between east and west, which nearly half a year later is at a stalement, despite countless provocations on both side.

Dutch Prime Minister Mark Rutte, whose country is seen as having a key role in shaping the EU response because it lost 194 citizens in the plane crash, said he would back sanctions unless Moscow halts weapons supplies to the rebels.

 

"We want as a country that has acquired a certain moral obligation as a result of this tragedy to promote Europe taking a common line on this," he told a parliamentary committee in The Hague.

 

"All indications are that Russia is continuing to arm the separatists," Rutte said, telling lawmakers he had spoken six times to Russian President Vladimir Putin since the disaster. "There's an easy way out for Russia: to distance themselves from the separatists, and stop arming them."

At the end of the day, however, despite the pomp and rhetoric, it is most likely that nothing of significant will actually happen:

"To a degree everyone is reverting to trying to protect their own national interests from harm," a senior European diplomat said.

 

The issue of upholding existing contracts with Russia is sensitive for France, which has agreed to sell Mistral helicopter carriers in a 1.2 billion euro ($1.61 billion) deal.

 

Another difficulty is balancing the pain of imposing the sanctions among EU member states. Britain is strong in financial services, Germany in technology and machinery, France in arms sales, while Italy is heavily dependent on Russia for energy.

Finally, it goes without saying that while Europe will ultimately end up doing something merely to piggyback on the latest round of Russian sanctions adopted by the US last week, the real question is how and what Putin will do in retaliation (aside from banning the Quarterpounder with Cheese of course), as that will demonstrate just how independent of the west the Eurasian, and BRIC, axis believes it has gotten.

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buzzsaw99's picture

Europe promptly "detoothed" the sanctions by announcing that they would not affect current supplies of oil, gas and other commodities from Russia, diplomats said...

They hope it won't anyway.

GetZeeGold's picture

 

 

not affect current supplies of oil, gas and other commodities from Russia

 

Or vodka.......it's just everything else no one needs.

Latina Lover's picture

The Europeans know that the Kiev Kriminals puppetted by the USSA/EU were behind the MH17 False Flag.

One of the blatant indicators was the almost immediate, shrill, co ordinated spewing of talking points and emotional button pushing, demonizing Putin and Russia with absolutely no proof other than Twitter comments, Youtube and shrieking allegations from Kiev. 

The good news is that the propaganda line is already falling apart in the face of hard facts and tough questions asked by the Russians.  While the anglo saxon idiots will believe whatever they are told, the rest of the world understands how America starts every war with a lie?  Weapons of Mass destruction anyone?

marriedgeordie's picture

You'd sound more intelligent if you were sucking someone's dick rather than sputtering this nonsense. And it takes a lot - I mean A FUCKING WHOLE LOT - of imagination to believe the shit russians are telling about MH17. A Ukrainian ground support fighter jet unable to fly at 10K hitting B777 with an air-to-air missile which has never in history rendered a commercial jet completely uncontrollable so quickly (there have been at least three cases, in one of which the plane landed)? SERIOUSLY?!?!?!? Huilo has to just admit that it gave the rocket to the monkeys, apologize and pay up - maybe in a decade or so the Dutch will stop being pissed off with the russians if he does it now.

Latina Lover's picture

I like your bio, it tells me all I need to know about you.

Hope you enjoy bending over for the USSA controlled  Kiev criminals who are stealing your pensions, loading you up with debt, killing your sons with useless wars, making your daughters whores and transforming the Ukraine into a country a freezing Africa, complete with tribal wars, disease, organ stealing and ultra corrupt leaders.

Yeah, go ahead and  tell me that the Ukraine is better off now, than it was 6 months ago, LOL.

Actually, comparing dumb Ukrianians like yourself is an insult to the Blacks of Africa, who at least understand they are oppressed by the western powers.

marriedgeordie's picture

THE Ukraine?!?!!? You are even dumber than I thought.... at least it does not look like you are one of them putin trolls - mostly likely just a brainwashed kid from Venezuela. Do not worry, you will grow out of it.... As for the substance of your comment - we have seen what Russia has on offer for us, THANK YOU VERY FUCKING MUCH. Time to try something different - hence we are fighting.

Latina Lover's picture

Blah, blah, blah,  useless talkings.

But you right in a way, there is no Ukraine any longer. After the attacks on Donbass, most of the population hates Kiev and wants nothing to do with the oligarchic gangsters puppeted by the USSA. They will never be Ukrainians again.

What is left are the brainwashed Galicians who think the EU will give them visa free travel so they run away.  Good luck with that! You are stuck on the plantation forever, the new white niggers of Europe, controlled by Zionist slavemasters.

The best part is, you chose to wear the chains, LOL>

 

marriedgeordie's picture

WOW, you just keep digging. I have quite the opposite information from people living in Donbass, but you obviously will not believe me. Suit youself - turn on your RT and enjoy the alternative reality.

Latina Lover's picture

Sure, I keep digging:

-29.67% decline against the USD in the UAH since Jan. 2014

-10% GDP contraction in the economy

-default of 5 billion to Gazprom

-government coalition collapse this past week 

 

Quoting from your propaganda rag, Kyiv Post:

The government of Ukraine emphasizes that without the passing of these bills there won’t be answers to how salaries will be paid, pension, social benefits, how to ensure the army gets everything it needs, how to finance the public’s needs who became homeless because of the acts of terrorists and separatists, how to gurantee the nation’s energy security and survive the winter.”

http://www.kyivpost.com/content/politics/cabinet-urges-parliament-to-rec...

Due to brainwashed fools like yourself , the Ukraine will never be a normal country

 

Good job, LOL>

 

 

marriedgeordie's picture

For a country under an unprovoked military attack from its neighbour, this is not unexpected. And do not think that I am unaware of the state of Ukraine's economy - this is just a nice demonstration of what russia has in store for my country.

Atomizer's picture

I have a question for you, why didn't we find large plane refuge and dead bodies at the crash site of flight 93? Do you remember the plane that vaporized in PA?

Latina Lover's picture

Marriedgeordie, what Russia has in store for the Ukraine is nothing compared to the assfucking that the USSA will be giving you. Just ask the Iraqi's, Libyan's, Afgan's, Syrians, Vietnamese, etc

blentus's picture

I honestly hope that you're just trolling, and this is not your real state of mind.

I really do :(

gcjohns1971's picture

According to most of the Pukin-heads around here, you can't be Ukrainian because the whole Maidan thing was made up by the west with Cryogenically frozen world war II Nazis.

Almost all the evidence points to an accident.

But no one wants to hear it.  Everyone wants war because the East thinks that murdering a few hundred million will make them respectable and the West thinks it will make them retain respect.

As for me, I am just tired of the theiving murdering assholes, and want them gone.

corsair's picture

You don't need cryogenic technology to create nazis. A proper home education will do the job just fine.

 

If YouTube wasn't so quick in removing content with "hate speech", I'd give you some links to show exactly what I mean.

gcjohns1971's picture

I see!

Home education is what makes Nazi's!!!!!

 

And here I thought it was Private Ownership of companies, but with government control....

But that can't be right because that would mean that BOTH RUSSIA AND THE US are Nazi's.  And of course, we have to have some power chemicals to make us ignore what we see and beleive that one of these assholes is actually a saint in disguise.

Na zdorovye!

 

IPURDOM75's picture

I feel bad for you marriedgeordie....only rudeness equals the stupidity of your comment.

marriedgeordie's picture

Rudeness was entirely warranted by the sheer ignorance and dumbness expressed by the poster, adjusted for the general level of this forum. My response also noted several clear inconsistencies in the point of view expressed by the russian ministry of defense - the view that was so dumb that the pentagon did not even bother commenting on it (of course i understand that for the general audience of this forum the pentagon is something like the root of all evil that lies all the time while the russians are the beacon of truth in this world).

Enjoy living in the alternative reality, but read a disclaimer: return to actual reality may be painful. This, my friend, applies to everyone who has been watching too much RT lately. Cheers.

blentus's picture

I don't have a TV. Ok, I have a TV, but only a media player and Playstation are connected to it. I mostly play cartoons and documentaries for my kids, with occasional Playstation gaming session.

Am I watching too much RT too, or I am considering that you're an idiot because you really might just be an idiot?

Mysteries of life.

Latina Lover's picture

I do not. People like marriedgeordie would rather suffer and die than admit they are wrong.

marriedgeordie's picture

people like marriedgeordie know they are right, because they do not get their information from RT, but from people on the ground in Ukraine. once again, enjoy your alternative reality.

Latina Lover's picture

Like I said, people like you would rather suffer and die than admit you are wrong. 

As for the people on the ground, I'll bet they are cheering over the higher prices, cut in wages and pensions, and being drafted into the army /sarc off

blentus's picture

Dear marriedgeordie,

As it happened so many times before, in the history of this world, you are the only one who has friends/contacts in areas of general interest.

Always remember how important you are, because you are *the* one.

tony wilson's picture

newly married geordie

are you a geordie are you newly married

how nice.

your wife geordie i would watch her as i here the whores of your town like too blow strangers at bus stops on rainy saturday night : )

watch her my friend smell her breath when she gets home nothing worse than another mans cock smell on your beloved.

marriedgeordie's picture

wow, tony - how classy and creative!!! hats off to you!

blentus's picture

Dear Mongoloid,

Russians are not really telling anything. They were asking fairly simple questions to which noone answered.

Theories about SU-25 shooting down B777 come from 'social media' (idiotic concept on its own), and you talking so much about it really shows how much attention you've been paying.

Yours truly,

Blentus

P.S: I am sure Russians really care how much Dutch are pissed off at them, considering their anger is based on accusations with absolutely no backing or sense.

 

HardAssets's picture

What actually happened is irrelevant to The Great Game players. Once the plane went down everything transformed to a battle fought with propaganda. US spokespeople came up with lame stories that could only be believed by the dumbed down American public. These stories wouldn't really be effective on the rest of the world because they have no real supporting evidence and are based on lies. Not enough 'ammo' to convince European states to ratchet things up against Russia. (I also suspect that US sat intel shows the Ukes did it. Journalist Parry says he has an insider source who says this is the case.) The US 'officials' know this, as do everyone else. This matter is over, they're just making a (rather minimal ) show of it.

A month from now all of this will be down the msm Memory Hole and something else will be in the 'news'

Latina Lover's picture

No Freedom Fries for the Russkies.

Max Damage's picture

I like the destabilizing Eastern Ukraine bit. No mention of those responsible for destabilizing the whole of Ukraine. These arseholes really do think people are fuckin stupid.......Oh shit I forgot the majority are fuckin stupid

observer007's picture

MH17:

Netherland wants to send military troops to east ukraine:

http://tersee.com/#!q=mh17&t=text

Apeman's picture

True, but not gonna happen.

Keyser's picture
they would not affect current supplies of oil, gas and other commodities from Russia, diplomats said. Of course , Vlad may have another view...
buzzsaw99's picture

neither side seems to have thought this through very well

http://www.youtube.com/watch?v=Z_JOGmXpe5I

Squid-puppets a-go-go's picture

CAAAAARN PUTIN! Shut it offf!!! SHUT DOWN the gas NOWWWW!!!

After all, Europe is proving itself to be 'unreliable trade partners'

wallstreetaposteriori's picture

With Europe moving soooo slow to enact, Russia will be able to manoeuvre all around this..  Time to ramp up for war.

Stoploss's picture

Here's a helpful hint for the vagina squad, since they are new at this game:

 

When you open your eyes and all you see is knees, it is you, who is over the barrel...

Keyser's picture

Much like getting into a game of cards with a bunch of Philippinos... Whether you know it or not, you're the mark... 

Urban Redneck's picture

Eurotard: noun, a pompous lower primate, indigenous to several major European cities, incapable of understanding that transferring energy technology to Russia today, directly relates to the price that Europeans will pay for energy tomorrow (irrespective of Russia intentionally restricting energy supplies to Europe), and that TBTF European energy firms' access to Russian energy production licenses (and profit sharing) is predicated on said TBTF European energy firms sharing their latest technology with Russia.

SidKhadak's picture
MH17 Chameleon: Operation Rapid Trident II

 

 

 

The announcement of U.S. BREEZE and RAPID TRIDENT II military maneuvers came on May 21, 2014 by Vice President Joe Biden’s office. Biden’s son, Hunter Biden, is a newly-named director of the Ukrainian natural gas and oil company Burisma Holdings, Ltd., owned by Ihor Kolomoisky, the Ukrainian-Israeli mafia oligarch, who is known as the «Chameleon». Kolomoisky has raised his own mercenary army, complete with the BUK missiles allegedly used in the shootdown of MH-17. Kolomoisky, the Governor of Dnipropetrovsk oblast in eastern Ukraine, has threatened terrorist attacks against Russian-speaking officials in eastern Ukraine, including assassinations.


MH17 Chameleon: Operation Rapid Trident II
Chuck Knoblauch's picture

You realize that energy prices will spike in the U.S. if Russia turns the power off in Europe?

However, Israel will still have priority of supply from U.S. oil companies.

The order will be Israel, Europe, and U.S.

Lumberjack's picture

When Russia sanctions CBRE (Dianne Feinstein's husband's company), then I will know it's getting serious.

juujuuuujj's picture

What will Russia ever do without those sound European capital markets?

JohninMK's picture

Who benefits if oil prices spike? Oooops Russia

BadDog's picture

Still waiting for Russia to announce energy setttlements in Yuan, Rubles and Gold.  Nothing else will do.

Squid-puppets a-go-go's picture

I fuckn WISH

Fukkit! Im sick of the can kicking malfeasant malinvested malign BULLSHIT from the west. TEAR IT ALL DOWN ! PUUUUURGE

 

marriedgeordie's picture

Would you accept a Russian promisory note of any kind (and RUR is just that - a promise to accept this piece of paper in the future)?

BadDog's picture

For trading purposes, yeah.  But not for long term wealth preservation, because all fiat money as they currently exist, are worth 0 for that purpose.

astoriajoe's picture

Perhaps they will add those cool pneumatic tubes on the side of each pipeline.

You want oil, just plunk your gold eagle or maple leaf into the tube and ve vill turn on the oil for you.

Max Damage's picture

Since Russia has pretty much no debt I don't think they need Weatern capital markets. The west is just accelerating its bankruptcy